Return of value to shareholders of The Local Shopping REIT plc

Client nameThe Local Shopping REIT plc

BDO advised The Local Shopping REIT plc (“LSR”) on a hostile bid defence from its largest shareholder, Thalassa Holdings Limited (“Thalassa”).  Thalassa originally frustrated a members voluntary winding up by LSR to return cash to its shareholders in accordance with its investment policy.  Thalassa subsequently made a hostile part cash, part share offer for LSR which we successfully defended.  Following the successful defence, LSR agreed a tender offer with Thalassa, whereby LSR offered to buy-back all of its shares at net asset value after Thalassa had undertaken not to accept the offer.  This unusual transaction was treated as a takeover offer under the Takeover Code.  This represented a desired outcome for the other shareholders of LSR.

The transaction had some unusual factors that provided an additional layer of complexity to what was already a challenging process.  Our advisers at BDO were very responsive to this and, with their support, we were able to provide a fair and effective solution for those shareholders who wished to realise their investments.
 
William Heaney, The Local Shopping REIT plc